RedPrairie and Sony Finalists for Supply Chain Innovation Award
The Council of Supply Chain Management Professionals (CSCMP) and SupplyChainBrain have named RedPrairie Corporation and Sony of Canada Ltd as finalists for the Supply Chain Innovation Award.
RedPrairie was nominated for the award based on their successful implementation of a Collaborative Flowcasting/store level distribution resource planning (DRP) solution for Sony of Canada. The case was selected as one of eight finalists out of 50 submissions.
Sony implemented RedPrairie’s store level distribution resource planning system in 2009, using integer forecasting to model how seasonal demands will occur. In 2012 Sony of Canada improved store level forecast accuracy by 30%, improved store in-stock from 87 to 97%, reduced supply chain inventory by 20%, and reduced obsolete inventory from 14 to 9%.
“This was a relatively simple implementation with quick results,” said Rick Courtin, business process manager at Sony of Canada. “Store level DRP gave us the ability to improve store in-stocks and reduce inventory quickly, while at the same time providing us with the ability to automate many tasks that were manual and very cumbersome in the past. Thanks to the new system, we can now focus on fire prevention activities instead of being in a constant state of firefighting.”
“The farther from the consumer that forecasting takes place, the less accurate forecasts are likely to be,” added Andre Martin, co-founder of RedPrairie’s Collaborative Flowcasting Group. “The retail store is both the beginning and the end of retail supply chains. It’s the beginning of the information flow and the end of product delivery. Our approach is to create a computer-based model of the actual retail business; a representation of the real world, which can be used to intuitively model how demand will actually occur.”
Courtin and Martin will present the case study during the CSCMP Annual Global Conference in Atlanta, Ga. on September 30-October 3, 2012.